10
AUGUST/SEPTEMBER 2013 SA MINES & ENERGY JOURNAL
INDUSTRY NEWS
Archer Exploration has purchased
the land needed to enable it to
develop its Campoona Shaft
and Sugarloaf graphite projects
on the Eyre Peninsula.
Last month the company
announced it had reached
agreement to acquire a part
of the Campoona property,
which is located about
15km north of Cleve.
As the company explained, it
now owns all the land necessary
to accommodate the planned
future mining and processing
operations for the Campoona
Shaft and Sugarloaf deposits.
The Campoona deposit is
unique in that it can deliver very
high quality graphite from a low
cost, high yielding extractive
process. Another advantage in
the development of the deposits
is that they are located close
to existing infrastructure, with
high voltage power lines and
truck routes already running
through the tenement area.
Archer takes aim
Minotaur expansion
Gold star for Mt Woods
IMX Resources' Mt Woods
magnetite project is definitely
viable for development,
according to a recently
released Scoping Study.
In what was positive
reinforcement, the study found
that existing key infrastructure
and favourable metallurgy
set Mt Woods apart as an
"economically attractive, lower
risk and feasible near-term
development opportunity"
.
It stated that available rail
and port capacity currently
being used for IMX's Cairn Hill
mine and coarse grind, would
allow for lower capital and
project complexity than most
Australian magnetite projects.
According to IMX Managing
Director Neil Meadows, the Mt
Woods project is "unique" as the
infrastructure is already in place.
"As a consequence, unlike
most pre-development and
current Australian magnetite
projects, Mt Woods does
not require large-scale
capital investment and is
not reliant on third parties
for new infrastructure in
order to develop a potentially
economically viable project.
"The existing rail and port
infrastructure, along with the
availability of grid power at
Prominent Hill which could
be reticulated to the project
site at a modest capital cost,
provides the backbone of
the key infrastructure.
"These factors, combined
with the relatively coarse grind
size producing a high-grade
magnetite concentrate, have
resulted in a capital intensity that
is an order of magnitude lower
than that typically associated
with magnetite projects.
"
Mr Meadows said this meant
that a smaller scale project
could be developed cost
effectively, while maintaining
an option for a larger
scale development.
"IMX's proven development
and operational experience in
the region at our successful
Cairn Hill mine has allowed
the estimation of operating
costs with a high degree
of confidence,
" he said.
Production from the project is
currently expected to commence
in 2016 following the completion
of more detailed evaluation,
financing and construction.
Development plans and a
development decision for the
project will be finalised once a
review of strategic commercial
options is complete.
Minotaur Exploration has
announced plans to expand its
business, with the proposed
takeover of Perth-based
Breakaway Resources.
The company has also
outlined details of a separate
round of joint venture deals
which will likely result in a
$9 million cash injection into
operations and could lead to
the immediate exploration of
Breakaway-owned assets.
The Minotaur-led joint ventures
-- under the company's recently
announced alliance with a new
private equity cornerstone
investor -- could see major work
commence on the ground at
Leinster in WA and Eloise in
Queensland, as early as October.
The joint venture cash injection
will be triggered immediately
Breakaway shareholders
approve the takeover.
Minotaur's Managing Director,
Mr Andrew Woskett, said the
deals were a "triple whammy"
of growth for the company, in
line with its strategy to emerge
as a fully fledged pure copper-
gold and gold play focused
on high potential copper
and gold fields in renowned
mineralised provinces.
"Minotaur's exploration team
has identified and prioritised
drill targets at both the Eloise
(copper-gold) and Leinster
(gold) projects. We have
backed this up with a funding
commitment, subject to the
Breakaway takeover completing,
from our alliance partner that
will deliver the exploration
intensity best able to elevate
both projects to realisation.
"These new joint ventures
confirm the commercial benefit
of the recently formed alliance
and, importantly, also reassure
Breakaway shareholders that
should Minotaur's takeover
bid for their company be
accepted, immediate 'in-the-
ground' activity will start on
drill targets on Breakaway's
tenements,
" Mr Woskett said.
Centrex has announced
two changes to its Board
and management.
Ben Hammond was appointed
as Chief Executive Officer on 30
June, while Jim White has retired
as a Director of the company.
Mr Hammond, who was
acting CEO since February, has
been with the company since
2007. He played a key role in
the negotiation and successful
completion of Centrex's two
major Chinese-backed magnetite
joint ventures. Upon their
completion he was seconded
to the role of Chief Operating
Officer with Eyre Iron. More
recently he was instrumental
in negotiating a further Joint
Venture Agreement for base
metals exploration near Goulburn
in NSW. Mr Hammond holds a
geology degree and an MBA.
After three years of service
to the company, Mr White
decided to retire as a Director.
He was Managing Director of
Centrex from August 2010 to
June 2012 and during this time
was instrumental in the process
of advancing the Port Spencer
deep-water port development.
Moving up, moving on
IMX's Mt Woods site